GAME plans store closures as share price drops
UK videogame retailer GAME has revealed, via its latest financial report, that it plans close 85 stores taking the number down from 635 to 550. This is in addition to the 15 stores GAME has already closed this year.
“We remain the clear market leader in the UK, with 635 stores across two brands. We will continue to manage our store portfolio with strict retail disciplines,” company chairman Peter Lewis said in a statement today. The second brand to which he refers is Gamestation, whose 217 stores across the UK and Ireland were bought by GAME Group PLC in 2007.
“By Christmas 2013 we expect the UK store portfolio to have been reduced to about 550 stores as we reduce store over-lap and drive for greater cost efficiency.”
This news comes on the back of a falling share price (down 11.79% to 58.00 pence per share) as a result of an announcement stating that the company has made a loss of £21.5 million for the year ending July 31. Up to the same point last year the company reported a pre-tax profit of £10.8 million.